The LAO, a for-profit DAO, facilitates profit distribution among members investing in Ethereum ventures. As a Wyoming LLC, it operates with pass-through taxation, where profits are taxed on members’ individual returns, potentially deducting 20% under the U.S. Tax Cuts and Jobs Act. Cross-border tax disputes may arise for foreign members, subject to a 30% U.S. federal withholding tax on U.S.-sourced income. Specific dispute amounts are not publicly disclosed, but complexities in cross-border taxation, including varying international tax treaties and compliance with IRS regulations, could lead to significant liabilities. The LAO’s compliance efforts, limiting membership to accredited investors and adhering to KYC/AML laws, aim to mitigate such disputes. For precise figures, consult legal or tax professionals, as public data is limited.